India on cusp of returning to high growth trajectory, will become world’s third largest economy by 2027-28: Arvind Panagariya
The Hindu
Arvind Panagariya said his reading of the Economic Survey is that the “narrative that comes across tells the story of a much stronger economy” than the one that is growing at 6.5%.
Eminent economist Arvind Panagariya has said India is on the cusp of returning to a high growth trajectory and voiced confidence that the country will become the world’s third-largest economy by 2027-28.
Currently, India is the fifth largest economy “so it's another five years. We are already in (the year) 2023. So 2027-28, India should be the third-largest economy,” Mr. Panagariya, Columbia University Professor and former vice-chairman of NITI Aayog, told PTI in an interview in New York.
A day before Finance Minister Nirmala Sitharaman presented the Union Budget on February 1, the Economic Survey tabled in Parliament pegged India’s GDP growth at 6.5% in 2023-24.
Union Budget 2023-24 | Full text of Finance Minister Nirmala Sitharaman’s speech in Parliament
The International Monetary Fund’s World Economic Outlook update on Tuesday said growth in India is set to "decline from 6.8% in 2022 to 6.1% in 2023 before picking up to 6.8% in 2024, with resilient domestic demand despite external headwinds.” Last week, the UN said in its flagship World Economic Situation and Prospects 2023 report that India is projected to grow at 6.7% in 2024, the fastest-growing major economy in the world.
Mr. Panagariya said his reading of the Economic Survey is that the “narrative that comes across tells the story of a much stronger economy” than the one that is growing at 6.5%.